Is there an exception to the Transfer Fee for a Canine Dimensions franchise?

According to Canine Dimensions's 2025 Franchise Disclosure Document, under the section detailing other fees, there is an exception to the transfer fee. The standard transfer fee is $10,000, plus reasonable attorney's fees related to the transfer. However, Canine Dimensions will waive this fee for a one-time transfer to a corporate entity that the franchisee forms for ownership convenience.

This exception can be beneficial for franchisees who initially operate their Canine Dimensions franchise under their own name but later decide to incorporate for liability or tax reasons. By allowing a one-time, fee-free transfer to a corporate entity, Canine Dimensions reduces the financial burden on franchisees who make this common business decision. This is a notable benefit, as many franchise agreements do not offer such an exception and would require the franchisee to pay the full transfer fee even for a simple change in legal structure.

It is important for prospective Canine Dimensions franchisees to understand the specific conditions of this exception. The transfer must be a one-time event and specifically for the purpose of forming a corporate entity for ownership. Any subsequent transfers, or transfers for other reasons, would likely be subject to the standard $10,000 fee plus attorney's fees. Franchisees should consult with Canine Dimensions and their own legal counsel to ensure they meet all requirements for the exception.